Tag: corporate capital

Commercial leasehold sector is perhaps the biggest business sectors in the industry today. There are nearly 10 million commercial leasehold enterprises operational in the market at present, with as many as 20% changing their proprietor every year. These types of businesses trade in the field of health care, licensed sector, retail sector and leisure enterprises. It has to be noted that most of these are located on almost every high street area and many of them can experience difficulty in raising business leasehold finance. They need this kind of funding for buying or refinancing these types of businesses without putting any asset as security or collateral.

Traditional lenders do not support this marketplace with their whole heart and that is why they are a surprising element for most of the prospective leasehold business buyers. The fact is that the alternatives for financing businesses are very limited, as far as raising loans for purchasing short leasehold business or raising capital for improving or expanding businesses is concerned.

Corporate Finance is a field of finance that deals with a company’s financial decisions. Not only this, Corporate Finance also involves the tools used for making such decisions. The term Corporate Finance is also related to investment banking which aims at evaluating a company’s financial requirements and raising capital for fulfilling them.

The analysis, tools and financial decisions that are needed to reach the final conclusions of a corporation together constitute Corporate Finance. The primary objective of Corporate Finance is to increase the value of the organization in the market and at the same time, reduce any financial risks involved. In addition to this, Corporate Finance also oversees that the business is getting maximum returns on its investments.

Basically, Strategic Corporate Finance is related to identifying possible strategies and methodologies that can maximize the market value of a particular organization. It not only involves allocation of limited sources of capital among the competing opportunities, but also encompasses monitoring and implementation of chosen strategies for achieving the desired objectives.

Financial decisions: The financial decisions taken under Strategic Corporate Finance deal with the sources of finance and are a combination of debt capital and equity capital. If alterations are possible in the total value of the organization by changing the company’s capital structure, then existence of the best financial mix will be seen. In that scenario, the market value of the organization will be maximized. Continue reading “Strategic Corporate Finance”

When we are into corporate finance or venture capital, we usually forget that the real purpose of corporate finance is to make sure that the company is receiving more than the needed money for achieving its business goals. Corporate finance basically deals with the financial decisions a business owner makes and its primary goal is to maximize the corporate value, and manage the financial risks of the company at the same time.